China
China Drafts Updates To Commercial Bank Regulations
As it aims to bolster methods of market exit and risk disposal for institutions that loan money, the central bank of China introduced a draft of updates to legislation applicable to commercial banks, Reuters reported.
Runs on small financial institutions (FIs) in China have been on the uptick as of last year. In May 2019, the government took over Baoshang Bank in the first seizure of its kind in almost 20 years.
The People’s Bank of China (PBOC) set the terms for commercial banks to seek bankruptcy, while outlining actions for lenders to follow as they aim to leave the market or reorganize through its first changes to the law as of 2015.
EU
Swiss parliament approves new laws to regulate cryptocurrencies.
Switzerland’s government continues to lead the way in blockchain regulation, approving a raft of new laws that amend existing statutes to bring them in line with advancements in blockchain and crypto-asset technology. The new laws approved by Swiss parliament are expected to come into force early next year. The amendments apply to several statutes and have been drafted with concern for the potential damage wrought by under-regulation in this area, balanced by the need for a commercially sensible regime that does not stifle industry growth, reported a crypto news site.
Other News
Ripple Has Three Favorite Countries In Case it Leaves US
According to reports, California-based liquidity provider Ripple is considering leaving the US, and some of the potential destinations to which the company could move include countries in Asia and Europe. Brad Garlinghouse, CEO of Ripple, named Japan, Singapore, and the UK as countries with preferential crypto regulations.
Wirex Achieves Record Crowdfund for Crypto Company, Raising Over £3.7 Million
Wirex, the next-gen payments platform sending waves through the fintech and crypto spaces, has raised £1 million in just 90 minutes and smashed its crowdfunding target by 370%. Nearly 7,000 investors took part to support Wirex on its mission to democratise access to cryptocurrency, reported a crypto news site.
Japanese Firms Unveil ‘First Real Estate STO’ for New Retirement Home
Three Japanese companies have teamed up to launch what they said is the “first real estate securities token offering (STO) for retail investors in Japan.” The collaboration involves security token specialist Securitize, advertising firm and Lifull Homes property listing website operator Lifull and real estate agency Enjoyworks.
According to a press release, the first STO to launch on their platform will be for a retirement home project in Hayama, Kanagawa Prefecture.
Kraken Relaunch in Japan after Nod from Regulators
Crypto exchange Kraken is relaunching in Japan after a two years hiatus, the U.S cryptocurrency exchange has said in a statement on Oct 22. They also become the first cryptocurrency exchange to organically enter the Japanese market without acquisition.
Vietnam’s OCB joins RippleNet as ‘strategic partner’
Vietnam’s Orient Commercial Joint Stock Bank is in the news after it joined RippleNet as a strategic partner on 16 October. Phong Nguyen, Head of Fintech at OCB, described the strategic partnership as the result of a “10-month effort in mobilizing multi-division resources and aggressively exploring business use cases.”
According to Nguyen, Ripple’s technology will cut down the expense and fees involved in remittances and cross-border payments, while also boosting productivity and transparency, reported a crypto news site.
Nigeria Is Developing Strategies for National Blockchain Adoption
Nigeria’s federal government is reportedly developing an ambitious plan to facilitate national crypto adoption with the vision of creating a “Digital Nigeria.”
According to an early draft of the strategy framework obtained by local publication Technology Times, the country’s Federal Ministry of Communications and Digital Economy and the National Information Technology Development Agency (NITDA) have partnered to develop a blueprint for national blockchain adoption.
Korean blockchain lobby calls for crypto tax plan to be put on ice
The Korea Blockchain Association has called for the government’s new 20% crypto trading tax plan to be delayed for another two years.
According to an Oct. 14 report from News1 Korea, the Korea Blockchain Association, or KBA, is requesting regulators postpone the South Korean government’s implementation of its long awaited new tax strategy until Jan. 1, 2023.
South Korean lawmakers and bank officials call for new crypto legislation.
According to reports, senior officials at South Korea’s leading banks have called for more regulation on cryptocurrencies in a bid to support the long-term development of the industry within the country. Banking officials were reportedly joined by Korea’s National Assembly members at a recent event, with discussions surrounding the need for a “virtual asset business law.” Titled “The National Assembly Seminar for the Virtual Asset Business Law,” the attendees argued if the laws were needed to protect revenues and help develop the fledgling digital currency sector in South Korea.
Indian crypto industry leaders push for a regulatory sandbox.
Crypto industry leaders in India have come together to push for a regulatory sandbox for crypto regulations in the country. The draft for the proposed sandbox demands a taxation framework for cryptocurrencies. The Supreme Court of India earlier this year overturned the central bank’s blanket ban on cryptocurrency. In collaboration with industry stakeholders, thought leaders, entrepreneurs, developers, and regulators, crypto exchange BuyUcoin introduced an open initiative that seeks to form a regulatory sandbox– a well-defined framework to regulate cryptocurrencies in the country. With the Supreme Court’s decision to overturn the crypto ban, startup jobs in India have increased in the crypto sector, reported a crypto news website.
Japan’s LINE Launches CBDC Development Platform: Report
LINE Corporation, best known for its popular messaging app, is launching a blockchain platform allowing central banks to develop digital currencies, South Korean newspaper Chosun reported.
Authorities drop a massive bomb on CFDs in Australia, limiting how they are sold and executed
Several years of regulatory wrangling has culminated in yet another blow to the CFD market, this time at the hands of Australian regulatory authority ASIC, which has today passed new regulations severely limiting how CFDs are sold, executed and marketed, and restricting leverage considerably.
Many FX brokerages in Australia had understood for a very long time now that this was likely to occur, the earliest example of which was explained to FinanceFeeds five years ago by Australian senior FX executive David Batten who raised some very important points concerning ASIC’s clampdown on margin electronic trading firms, reported a crypto news site.
Philippines Central Bank Governor: No Digital Peso Before 2023
The central bank of the Philippines, Bangko Sentral ng Pilipinas (BSG), won’t be issuing a central bank digital currency (CBDC) anytime soon, according to a report by CNN Philippines.
BSG Governor Benjamin Diokno told reporters during a press briefing on Thursday the bank wouldn’t pursue a CBDC for the duration of his term, which ends in 2023.
The People’s Bank of China Seeks To Prohibit The Creation of E-Yuan Competing Digital Tokens
The People’s Bank of China (PBOC), China’s central bank, is calling for public opinion or feedback in line with its plans to revise its extant banking laws. According to published notice, the PBOC wants to alter certain clauses in its laws that will promote the superiority of both fiat Yuan as well as the digital Yuan it is almost set to launch.
Hong Kong ‘Exploring’ Collaboration With China on Digital Yuan: Finance Chief
Hong Kong Treasury Secretary Christopher Hui said, the region’s government is considering collaborating with mainland authorities on China’s digital currency project, the digital yuan.
Hui said during a Legislative Council Q&A Hong Kong is most interested in wholesale and cross-border digital currency use cases, a contrast to China’s primarily retail-facing digital yuan, also known as DC/EP, reported a crypto news outlet.
Nearly 2 Million Sign Up for China’s Digital Yuan ‘Lottery’
Almost two million people living in the Chinese city of Shenzhen signed up for a 10 million (US$1.48 million) digital yuan giveaway over the weekend.
According to reports by AsiaOne, of the 1.91 million residents who put their hands up for the latest test of ChinaâÂÂs sovereign digital currency, only 2.3% of applicants won their free money.
U.S. Fintech Being Stifled by Regulators
Fintech innovation has been stifled in the United States, and this has attracted the attention of many concerned and renowned experts. According to Dan Tapiero, the co-founder of 10T Holdings, fintech regulations in the U.S. are a “big problem.” He claims that this is because the current fintech regulations have not put the future into consideration, reported a crypto news site.
Macau is using blockchain to bring back tourists. Is Hong Kong next?
Emerging from months of Covid-19 isolation, Macau is now welcoming back mainland tourists through the use of blockchain-based health codes.
Using mutual recognition health code systems based on blockchain technology, more than 17 million people have already traveled between the Chinese mainland and Macau since September 23, when Macau began issuing tourist visas to tourists who hold an electronic health-data pass, reported a crypto news site.
Spain is working on a bill that would require crypto investors to disclose their holdings
According to reports, Spain’s government is working on a bill that would require the country’s crypto investors to disclose their holdings and profits if passed.
The bill is planned to catch tax evaders and prevent tax fraud, said government spokeswoman Maria Jesus Montero after the weekly cabinet meeting, as Reuters reported on Tuesday. Details of the proposed bill remain scant.
Why is Washington still dragging its feet on crypto?
As Bitcoin enjoys increasing mainstream adoption, different ways to access it are also in the spotlight. While the cryptocurrency was once reserved for the tech-savy and Wall Street powerhouses, a growing number of Bitcoin ATMs (BTMs) are serving as financial tools to empower Main Street investors.
Importantly, these machines enable those who have been neglected by the traditional banking system to manage and control their own finances without jumping through hoops, paying high fees, and exposing themselves to discriminatory banking policies, reported a crypto news site.
UK limit on cryptocurrency derivatives draws attention in US
The U.K.’s decision this month to limit retail access to financial derivatives linked to cryptocurrencies caught the eye of legal experts in the U.S. and is fueling debate about whether Washington could follow the move in London, especially if Democrat Joe Biden wins the presidency.
Robert Hockett, a professor at Cornell Law School, may be an outlier in the debate, but he says the Financial Conduct Authority’s ban on retail investors’ trading derivatives based on cryptocurrencies such as bitcoin and ether could be emulated in the U.S. The FCA oversees financial regulation in the U.K, reported a crypto news website.
India Will Soon Have Crypto ‘Banking’ at 22 Physical Locations
India’s digital assets space continues to see rapid development, with the latest news from the subcontinent being cryptocurrency financial services offered at physical branches. According to a blog post from digital finance firm Cashaa on Tuesday, a new joint venture with the United Multi State Credit Cooperative Society will provide users with cryptocurrency services alongside traditional banking at 22 locations in the northern part of the country. A launch is slated for December of this year, with Cashaa saying the plan is to expand the service to over 100 branches by 2022.
European Union to Bridle Stablecoins and DeFi
Pursuing the pattern of the digital market, Fall 2020 has been an open season for regulators in Crypto land. Following the United States Commodity Futures Trading Commission’s Crackdown on BitMEX, a derivates exchange platform, the Financial Conduct authority based in the UK has made their move to apply a ban on retail investors from using cryptocurrency derivatives on the common trading ground. This news emerged right after the European Commission decided to create a solid legal framework for the cryptocurrency market. It has created some turbulence on the platform due to its contradictory elements. This decision has raised concerns over the security of stablecoins and decentralized financial applications, reported a crypto news site.
Central Bank Regulations Leave Little Room for Private Stablecoins
According to reports, several countries and regions are developing fiat-backed, central bank digital currencies (CBDCs). Some regulators aim to restrict or ban existing stablecoins in order to make room for official CBDCs. However, these restrictions have not yet been enforced.
Germany’s blockchain solution hopes to remedy energy sector limitations
According to reports, Germany’s blockchain solution for distributed energy resources puts interoperability to the test. Distributed energy resources, or DERs, have the potential to disrupt traditional electricity markets. Therefore, it shouldn’t come as a surprise that innovative countries are looking toward emerging technologies that will allow DERs to transform entire energy economies.
Germany in particular is interested in using DERs to drive its digital energy economy while also complying with the European Green Deal. As such, the Deutsche Energie-Agentur, also known as DENA — the main governmental group responsible for energy innovation in Germany — announced plans to trial a blockchain-based solution to construct a digital registry for DERs.
Latvia Warns: Beware of Cryptocurrency Fraud Risks
According to reports, Latvia’s Finance and Capital Markets Commission (FCMC) issued a warning against the risk of cryptocurrency fraud targeting users across various channels. There is such a commission in the country. However, the Latvian government does not currently have any regulations against the circulation of cryptocurrencies.
